KKR-backed LEAP India falls in trading debut, valued at $725 million
- The shares listed at 165.9 rupees apiece on the National Stock Exchange of India
Shares of KKR-backed LEAP India fell 5.3% in their trading debut on Friday, valuing the supply chain logistics firm at 69.18 billion Indian rupees ($725.2 million).
The shares listed at 165.9 rupees apiece on the National Stock Exchange of India, a premium of 4.3% to their issue price of 159 rupees.
The KKR-backed firm had received bids for 8.38 times the number of shares on offer in a $260 million IPO.
The IPO comprised a fresh issue of shares worth $50.3 million and an offer-for-sale of $209.7 million, mostly by KKR-backed Vertical Holdings II.
The trading debut comes in a subdued market, with the benchmark Nifty 50 index down 0.2%.
Retail investors subscribed 1.71 times the shares reserved for them, on valuation concerns, analysts said.
Indian shares end week lower as higher crude tempers risk appetite
“Declining EBITDA margins despite rapid scale-up, sensitivity to utilisation and asset recovery, and the absence of direct listed peers temper near-term earnings visibility and valuation comfort,” Arihant Capital said in a note last week.
Vertical Holdings II sold about $39 million worth of shares in LEAP India in a private placement ahead of the public launch of the IPO.